Question

10 reasons why having a account with good interest

Answer 1

Typically all banks and financial institutions offer a rate of interest associated with the funds deposited with them . This interest compounds the funds and grows the sum over a period of time in order to ensure higher returns to be achieved .

The reasons for choosing an account with   good interest rates is

No	Reason	Description
1	Achieve Higher Returns	Higher the rate of the offered interest higher is the returns on investment
2	Hedge against inflation	Good interest protects the deposits from inflation and hedges against the annual inflation.
3	Higher risk free returns on investment	Better the interest rates , better is the risk free rates on the investment
4	Attain higher Future Value	Good interest returns a higher maturity in future value
5	Improve confidence of depositors	High rates offered by bank of Fi , improves the depositors confidence on the bank relative to competitors offerings
6	Higher withdrawals in annuity after maturity	High interest rates allows retirement ravings holders to withdraw more monthly withdrawals after the retirement
7	Capital Protection	Protects the capital invested from Service and other charges levied by the bank
8	Higher effects of compounding	More the intensive rate , more will be the effective rate after including the no of compounding
9	Higher returns of recurring cash inflow	With recurring deposit accounts, the returns per period will be higher
10	Better client outlook	Improves the client base for the bank

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